Pension Benefit Guaranty Corporation: Payment of Premiums; Large-Plan Flat-Rate Premium
GAO-14-281R: Jan 23, 2014
GAO reviewed the Pension Benefit Guaranty Corporation's (PBGC) new rule on payment of premiums; large-plan flat-rate premium. GAO found that (1) the final rule moves the flat-rate premium due date for large pension plans to later in the premium payment year--to the same date as the variable-rate premium due date for such plans--starting with the 2014 plan year. Thus, the large calendar-year plans' 2014 flat-rate premiums will be due October 15, 2014. This rule is part of a PBGC project to make its premium rules more effective and less burdensome by simplifying due dates, coordinating the due date for terminating plans with the termination process, and making conforming and clarifying changes to the variable-rate premium rules, among other changes; and (2) PBGC complied with the applicable requirements in promulgating the rule.